BorgWarner Inc.

BorgWarner Inc.

BWAยทNYSE

$76.55

+3.3%
Consumer CyclicalAuto - Parts

BorgWarner Inc. provides solutions for combustion, hybrid, and electric vehicles worldwide. The company operates through four segments: Air Management, E-Propulsion & Drivetrain, Fuel Injection, and Aftermarket. The Air Management segment offers turbochargers, eBoosters, eTurbos, timing systems, emissions systems, thermal systems, gasoline ignition technology, smart remote actuators, powertrain sensors, canisters, cabin heaters, battery modules and systems, battery packs, battery heaters, and battery charging. The E-Propulsion & Drivetrain segment provides rotating electrical components, power electronics, control modules, software, friction, and mechanical products for automatic transmissions and torque-management products. The Fuel Injection segment develops and manufactures gasoline and diesel fuel injection components and systems. The Aftermarket segment sells products and services to independent aftermarket customers and original equipment service customers. This segment provides a range of solutions, including fuel injection, electronics and engine management, maintenance, and test equipment and vehicle diagnostics. The company sells its products to original equipment manufacturers of light vehicles, which comprise passenger cars, sport-utility vehicles, vans, and light trucks; commercial vehicles, including medium-duty and heavy-duty trucks, and buses; and off-highway vehicles, such as agricultural and construction machinery, and marine applications, as well as to tier one vehicle systems suppliers and the aftermarket for light, commercial, and off-highway vehicles. The company was formerly known as Borg-Warner Automotive, Inc. BorgWarner Inc. was incorporated in 1987 and is headquartered in Auburn Hills, Michigan.

At a Glance

Live Snapshot
Market Cap$15.70B
EPS1.2800
P/E Ratio59.80
Earnings Date07/30/2026
BorgWarner Inc.

BorgWarner Inc. Fair Value Envelope

BWA ยท NYSE

Our analysis suggests that BWA has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $76.55, this represents a potential HIDDEN relative to our calculated worth for BorgWarner Inc..

Intrinsic Value
Current Price: $76.55

Owner Earnings Valuation Tool

Warren Buffett's Owner Earnings DCF analysis for intrinsic value calculation

Historical Financial Data

Base year metrics used for projections

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Projection Settings

Forecast period and terminal assumptions

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DCF Valuation Summary

Calculation flow from present value to intrinsic value per share

Present Value$3,419.5B
+ Cash & Equivalents$2.3B
Firm Value$3,421.8B
- Debt$4.2B
Equity Value$3,417.6B
/ Shares Outstanding216,000,122B
DCF Value$15.8K
UNDERVALUED BY 20569%

Owner Earnings Projections

Operating Cash Flow - Maintenance CapEx = Owner Earnings

Metric
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Year 7
Year 8
Year 9
Year 10
Operating Cash Flow
$2.9B
$4.9B
$8.6B
$14.8B
$25.6B
$44.4B
$76.8B
$133.0B
$230.3B
$398.7B
Maintenance CapEx
-$162.4M
-$281.1M
-$486.7M
-$842.7M
-$1.5B
-$2.5B
-$4.4B
-$7.6B
-$13.1B
-$22.7B
Owner Earnings
$2.7B
$4.7B
$8.1B
$14.0B
$24.2B
$41.9B
$72.5B
$125.4B
$217.2B
$376.0B
Discount Factor
0.926
0.857
0.794
0.735
0.681
0.630
0.583
0.540
0.500
0.463
Present Value
$2.5B
$4.0B
$6.4B
$10.3B
$16.5B
$26.4B
$42.3B
$67.8B
$108.6B
$174.2B
Terminal Value represents 86.6% of Enterprise Value